“European Central Bank President Mario Draghi said while investors had largely priced in the euro-area sovereign downgrades from Standard & Poor’s, there should be less reliance on their ratings.
“It seems to a great extent markets have anticipated these ratings changes and priced them in,” Draghi said today at the European Parliament in Strasbourg. “We should learn to do without ratings, or at least we should learn to assess creditworthiness” with less reliance on the rating companies, he said. ”
………..1A) S&P takes Europe’s rescue fund down a notch
“Standard & Poor’s on Monday cut the rating of the European Financial Stability Facility to double-A-plus from triple-A, the rating agency said on its website. The downgrade to the euro-area’s bailout fund follows Friday’s downgrade by S&P of nine euro-region nations, including France. Speaking to the European Parliament Monday, European Central Bank President Mario Draghi criticized a lack of competition in the rating industry and called for less reliance upon them for information. “Rather than spend too much time on what they say, we need to learn to do either with them or without them,” said Draghi, speaking for the first time in his capacity as president of the European Systemic Risk Board.”
- Saxplayer00o1
